Honkarakenne Group’s 1Q net sales in 2016 decreased by 21% to Euro 4.6 million, as the company said in the press release received by Lesprom Network.
The operating result without non-recurring items for the January–March period was Euro -1.8 million and the result before taxes was Euro -1.9 million.
The trend in operating result was impacted negatively by the year-on-year decrease in net sales and positively by the cost efficiency-boosting programme carried out in 2015.
At the end of March, the Group's order book stood at Euro 16.9 million, up 2% on the corresponding period of the previous year, when it amounted to Euro 16.6 million. The order book refers to orders whose delivery date falls within the next 24 months. Some orders may include terms and conditions relating to financing or building permits.
Marko Saarelainen, President and CEO of Honkarakenne Oyj, said: “The weak market situation in Finland and uncertainty in the Russian market are felt in the trend in net sales. The Group’s net sales development has fallen short of the previous year. The order book was at a higher level than in previous year.
Sales went well in the Finnish market at the end of last year, but slackened in the 1Q. Our view is that healthiness and natural living are strong selling points when customers are considering buying a house these days.”
According the Honkarakenne’s view the net sales and result before non-recurring items and taxes in 2016 will be lower than in the previous year.
Honkarakenne Oyj is a Finland-based company engaged in the design and construction of specialty wooden log homes.
